Sir Philip Green has confirmed he will appear before MPs investigating the demise of BHS on Wednesday despite concerns about receiving a “fair hearing”.
The former BHS owner, who sold the retail group for £1 to a little known group of investors led by serial bankrupt Dominic Chappell, about a year before it collapsed into administration, said: “This will be the first and only opportunity I have had to tell my side of the very sad BHS story and I will do my best to answer all the questions put to me in an honest and open way.”
On Saturday, Green said he would not attend parliament unless Frank Field, the chair of the work and pensions committee, which is investigating BHS, stepped down.
It was also reported that Michael Sherwood, the joint head of investment bank Goldman Sachs in Europe would also appear before the MPs.
Field, a former welfare minister, has been critical of Green and said his committee “would laugh” if the billionaire were to offer less than £600m to settle the former retail chain’s pension debts when he goes before the committee.
BHS’s pension fund has a deficit of more than £571m on one measure and requires at least £275m to keep it out of the pensions lifeboat. Scheme members who have not already retired will receive only 90% of their future pensions under the PPF and will not get more unless a deal can be struck to pump more than £275m into the scheme.
The tycoon is thought to be working on a deal in which he would offer to buy out pensioners who had only worked for BHS for a short period of time – and so built up very small pension pots – and pump further funds into the scheme. Such a solution would mean he could rescue the scheme for less than the top of the range £571m.
Green suggested over the weekend that Field’s continued participation in the inquiry would only “obstruct a resolution”. He added: “I am not prepared to participate in a process which has not even the pretence of fairness and objectivity and which has as its primary objective the destruction of my reputation.”
Field has refused to step down and his position has been backed by a number of MPs including business minister Anna Soubry, who said on Twitter: “Sir Philip needs to understand parliament is the boss, get a grip.”
In a statement issued on Tuesday, Green said: “I am disappointed not to have had a reply to either of my letters sent to Mr Field. I did not think or believe that those conducting a parliamentary process would or should express concluded views in such a public way before I have had the chance to appear before the committee.”
But he added: “Having given long and hard thought to the matter however, I have decided I will attend tomorrow morning, hoping and trusting that the committee will give me a fair hearing.”
